Agritourism Market Analysis North America,Europe,APAC,South America,Middle East and Africa - US,China,Germany,France,UK - Size and Forecast 2023-2027

Agritourism Market Forecast 2023-2027

The Agritourism Market size is estimated to grow by USD 8.84 billion at a CAGR of 4.58% between 2022 and 2027. The market's expansion hinges on several key factors, including the burgeoning tourism industry's increasing demand for outdoor recreational activities. Technological advancements also play a pivotal role, facilitating enhanced visitor experiences and operational efficiencies within the industry. Additionally, the growing popularity of outdoor recreational activities among a wide range of demographics further propels market growth. These factors collectively contribute to the sector's robust expansion, highlighting the dynamic interplay between evolving consumer preferences, technological innovation, and the broader tourism landscape.

It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.

What will be the Size of the Market During the Forecast Period?

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Market Segmentation

This report extensively covers market segmentation by distribution channel (offline and online), type (domestic and international), and geography (North America, Europe, APAC, South America, and Middle East and Africa).

By Distribution Channel

The market share growth by the offline segment will be significant during the forecast period. The market is a burgeoning tourism industry sector, attracting consumers seeking authentic rural experiences. Farmers play a pivotal role in this sector through agri-food tourism and agrotourism farms. Sustainable farming practices and environmental protection activities contribute to the rural economy. The Census of Agriculture provides data on this unorganized industry.

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The offline segment was valued at USD 26.99 billion in 2017. Technology, such as online booking platforms, virtual farm tours, and mobile apps, facilitates sales. Travel agencies and tour operators promote and sell agritourism experiences, offering information on destinations, packages, and activities. Legal definitions and awareness campaigns are essential for the growth of this niche concept. Entrepreneurial farmers employ on-farm recreation, adhering to sustainable tourism principles, urbanization, and social distancing guidelines. The World Tourism Organization reports increasing international visitor arrivals in farm tourism. Restraints include farmers' behavior and lack of standardization. Children are often drawn to the lush green farms, bullock carts, cows, and tractors, making agro-tourism a unique and popular concept, even during lockdowns. Thus, the offline segment will boost the growth of the market during the forecast period.

By Region

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North America is estimated to contribute 34% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

The market in North America is experiencing significant growth, with urban families, the corporate world, and millennials demonstrating increased interest. This trend is driven by the desire for sustainable rural experiences, cultural exploration, and cost-effective accommodations for larger groups. The tourism ministry is promoting digital innovation to enhance consumer expenditure behaviors, benefiting farmer communities who offer added income through agritourism activities. Sustainability, climate changes, and environmental degradation have heightened the appeal of outdoor recreation, including sports activities, hiking, horseback riding, fishing, hunting, and adventure activities. Older age groups and educational institutions are also embracing agritourism for educational tours and interactions with farm animals, such as horses, cattle, birds, reptiles, and more.

Market Dynamics and Customer Landscape

The market is a niche concept that has gained significant traction in recent years, particularly in the context of the Farmers, industry, and Agro-food tourism. Agri Tourism Development Corporation offers a healthy and relaxing holiday experience. These farms promote Sustainable farming practices and Environmental protection activities, contributing to the Rural economy. The Census of Agriculture indicates a growing trend towards this sector, with the integration of Technology playing a crucial role. However, some Restraints hinder the growth of Agritourism, such as farmers' behavior and entrepreneurship. Lush green farms, Bullock cart rides, and interactions with animals like Cows attract Urban families and the Corporate world, as well as Millennials and young minds. The ministry is promoting Digital innovation to boost consumer expenditure behaviors towards Agritourism. The Farmer community stands to benefit immensely from this trend, making it an exciting space to watch in the Agri-food sector. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

The growing tourism industry is notably driving the market growth. The market has experienced notable growth due to the expansion of the global tourism industry. Farmers have capitalized on this trend by offering agri-food tourism experiences at agrotourism farms. Sustainable farming practices and environmental protection activities are key attractions for consumers. The rural economy benefits significantly from this sector, with census data indicating a rise in demand for farm stays, private homes, and other rural accommodations. Technological advancements, such as online booking platforms, virtual farm tours, and mobile apps, have streamlined the industry.

However, the unorganized nature of the sector necessitates legal definitions and awareness campaigns. Tour operators, private organizations, and associations play crucial roles in promoting sustainable tourism in rural areas. The baby boomer demographic and consumer demand for unique experiences have fueled the growth of this niche concept. Despite challenges like urbanization and restraints on entrepreneurship, the allure of lush green farms, interactive activities, and cultural experiences continue to draw international visitors. Even during lockdowns and social distancing guidelines, the World Tourism Organization reports a surge in farm tourism. Children and animals, such as cows, bullock carts, and tractors, add to the charm of agritourism experiences. Thus, the growth in the tourism industry will drive the growth of the global agricultural tourism market during the forecast period. 

Significant Market Trend

The growing popularity of instant bookings is a key trend influencing market growth. The market, a niche concept in the tourism industry, has experienced significant growth due to the adoption of instant booking processes. Farmers and private organizations have responded to consumer demand by offering agri-food tourism experiences on their farms, which promote sustainable farming practices and environmental protection activities. The rural economy benefits from this trend, as tourists visit lush green farms, interact with animals such as cows and bullock carts, and engage in on-farm recreation. Technology plays a crucial role in the agrotourism sector, with online booking platforms, virtual farm tours, and mobile apps facilitating real-time reservations.

The unorganized industry is gradually being formalized through legal definitions and associations. The World Tourism Organization reports increased international visitor arrivals in rural areas, driven by sustainable tourism initiatives and social distancing guidelines during the lockdown. Despite these advancements, the market faces restraints, including farmers' behavior and entrepreneurship. Tour operators play a vital role in promoting awareness and ensuring adherence to sustainable tourism principles. The census of agriculture data indicates a growing interest in agritourism as a means of diversifying agricultural income. Overall, the market contributes to the rural economy while promoting urbanization and STAR Destinations through unique, authentic experiences. The growing adoption of such technologies is expected to create a unique user experience, which, in turn, will have a positive impact on the global agritourism market during the forecast period.

Major Market Challenge

Risks associated with fraudulent vacation rental houses, apartments, and homestays may impede market growth. The market, a segment of the tourism industry, is characterized by visits to agri-food tourism sites, including agrotourism farms. Farmers play a crucial role in this sector, implementing sustainable farming practices and engaging in environmental protection activities. However, the market faces challenges from the unorganized industry, with fraudulent players engaging in scams, false reviews, and unethical dealings. These actions harm the reputation of key companies like STAR Destinations, which provides user reviews and ratings and hinder the growth of the market.

Technological advancements, such as online booking platforms, virtual farm tours, and mobile apps, offer opportunities for sustainable tourism in rural areas. Despite these opportunities, legal definitions and awareness campaigns are necessary to address the restraints of this niche concept. Tour operators and private organizations, along with associations, can promote agritourism by adhering to sustainable tourism practices, urbanization, and on-farm recreation. The COVID-19 lockdown and social distancing guidelines have also impacted international visitor arrivals, affecting farm tourism and the rural economy. Children are an essential demographic for agritourism, with activities like tractor rides, cow milking, and bullock cart rides contributing to the overall experience. The World Tourism Organization emphasizes the importance of sustainable tourism practices in the agritourism sector.

Key Market Customer Landscape

The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Global Market Customer Landscape

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

• Agrotours Inc. - The company offers agrotourism arranged by personal farmers and extension advisory personnel.

The market report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:

• agroverde GmbH
• Bay Farm Tours
• Blackberry Farm LLC
• Diniscor
• Domiruth PeruTravel
• Expedia Group Inc.
• Farm To Farm Tours
• Greenmount Travel
• GTI Travel
• Liberty Hill Farm
• Monteillet Fromagerie
• Nokyo Tourist Corp.
• Orange Grove Farm
• Quadrant Australia
• Star Destinations

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Segment Overview

The market report forecasts market growth by revenue at global, regional, and country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027. 

• Distribution Channel Outlook 
  • Offline 
  • Online 

• Type Outlook
  • Domestic 
  • International 

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa
  • South America
    • Argentina
    • Brazil
    • Chile

Market Analyst Overview

Agritourism, a fusion of agriculture and tourism, has emerged as a significant market trend in recent times. Farming and tourism industries collaborate to offer unique experiences to visitors, providing an insight into rural life and agricultural practices. The Agrotourism industry includes activities such as farm stays, vineyards, orchards, and educational tours. The market is growing, with consumers seeking authentic experiences and a connection to their food sources. Technologies like Virtual Reality and Social Media are being used to promote these experiences, reaching a wider audience. Consumers are drawn to the Sustainable and Local aspects of Agrotourism, making it an attractive option for both rural communities and tourists. The industry is also creating new sources of income for farmers and rural communities, contributing to Economic Development and Community Empowerment. The market is expected to continue its growth trajectory, with increasing demand for authentic, local, and sustainable experiences.

Market Scope
Report Coverage	Details
Page number	157
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 4.58%
Market growth 2023-2027	USD 8.84 billion
Market structure	Fragmented
YoY growth 2022-2023 (%)	3.15
Regional analysis	North America, Europe, APAC, South America, and Middle East and Africa
Performing market contribution	North America at 34%
Key countries	US, China, Germany, France, and UK
Competitive landscape	Leading companies, Market Positioning of companies, Competitive Strategies, and Industry Risks
Key companies profiled	Agrotours Inc., agroverde GmbH, Bay Farm Tours, Blackberry Farm LLC, Diniscor, Domiruth PeruTravel, Expedia Group Inc., Farm To Farm Tours, Greenmount Travel, GTI Travel, Liberty Hill Farm, Monteillet Fromagerie, Nokyo Tourist Corp., Orange Grove Farm, Quadrant Australia, Star Destinations, Stita Group, Tate Farms, Wheatacre Hall Barns, and Innisfail Travel Service Ltd.
Market dynamics	Parent market analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2023 and 2027
• Precise estimation of the size of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market industry across Europe, North America, APAC, South America, and Middle East and Africa
• Thorough market growth analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies

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